Bond Yields Squeeze Crypto Market, Bitcoin Loses $675 Billion

The recent surge in U.S. bond yields has put pressure on the cryptocurrency market, causing investor demand and liquidity to drop.

The 30-year U.S. Treasury yield hit its highest level since 2007, making bonds more attractive and drawing capital away from riskier assets like cryptocurrencies.

This shift has contributed to a significant drop in crypto market value, with Bitcoin losing over $675 billion since January.

U.S. investors have shown caution, reflected in lower net inflows into crypto products and a negative Coinbase Premium Index.